April 21, 2010
EMBEZZLER GUILTY OF TAX EVASION
(CORPUS CHRISTI, Texas) – Gina Anzaldua Holley, the former office manager for a local medical group, has pleaded guilty to one count of tax evasion, United States Attorney José Angel Moreno and Internal Revenue Service – Criminal Investigation Division (IRS-CID) special agent in charge Rodney E. Clarke announced today.
At a hearing before United States District Judge John D. Rainey today, Holley admitted she failed to pay taxes on approximately one million dollars she embezzled from her employer between 2003 and 2006 while working as the office manager for a medical group. Holley’s undisclosed income resulted in unpaid taxes owed to the United States of $297,855.
“The role of IRS-CID becomes even more important in embezzlement and fraud cases due to the complex financial transactions that can take time to unravel,” said Clarke. “The federal tax laws are normally violated in these cases which can add to additional jail time. As we often see, the victims are not only the taxpayers, but also the individuals and entities who suffer the financial harm.”
According to pleadings filed of record in the case, in September 2007 the medical group discovered Holley had been using a company ATM card to make unauthorized withdrawals. Further investigation revealed that in addition to the unauthorized withdrawals, Holley also embezzled money by issuing company checks to herself, writing company checks to pay her credit cards and other expenses and making unauthorized transfers to her checking account. As office manager, Holley had control of accounts payable and the payroll as well as being in charge of bank reconciliations. Holley altered business records to conceal the fraud by making various journal entries and coding the majority of the embezzled funds to medication expenses. She used the embezzled funds to purchase vehicles, a house, cosmetic surgery and to fund frequent trips to Las Vegas, Nev., New York and Puerto Rico. Holley did not include any of the embezzled funds as income on her United States income tax returns.
The medical group obtained a civil judgment against Holley of $1,132,273 in compensatory damages and $2.5 million in exemplary damages as a result of the fraud.
Holley faces up to five years imprisonment, a fine of up to $100,000 and up to three years of supervised release. Holley will also be required to pay the full amount of tax she owes to the United States. Sentencing is set for July 29, 2010, at 11:00 am.
The case was investigated by agents from the IRS-CID and the FBI. The case was prosecuted by Assistant United States Attorney Robert D. Thorpe Jr.
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